Mayo Clinic Health System-Austin

About Mayo Clinic Health System-Austin

Multidisciplinary teamwork with coordinated care is Mayo Clinic's secret sauce. The not-for-profit Mayo Clinic provides health care, most notably for complex medical conditions, through its clinics in Rochester, Minnesota, Arizona, and Florida. The clinics' multidisciplinary approach to care attracts more than a million patients a year from around the globe. For less specialized care, the Mayo Clinic Health System operates a regional network of affiliated community hospitals and clinics in Minnesota, Iowa, and Wisconsin. Mayo Clinic also conducts research and trains physicians, nurses, and other health professionals. The Mayo Clinic is named for Dr. William Worrall Mayo, who settled in Rochester in 1863.

Operations

Mayo Clinic Health System's regional network operates more than a dozen hospitals that, combined, are home to about 1,000 beds and 3,800 staff physicians, medical scientists, and clinical and research associates. The system also includes roughly 70 clinics in northern Iowa, western Wisconsin, and southeastern Minnesota. To manage its patient load, Mayo forms referral alliances with other hospital groups, HMOs, and other organizations.

The clinic's education programs include the Mayo Medical School, Mayo Graduate School, and the Mayo School of Health Sciences; some medical training programs are conducted through partnerships with universities including the University of Minnesota. It also provides continuing education programs to medical professionals.

Financial Analysis

The Mayo Clinic's revenue increased by nearly 7% in 2011 vs. 2010, while net income declined 18% over the same period. Indeed, revenue, gains, and other support has steadily increased in recent years to nearly $8.5 billion in 2011. Sales of medical services (which account for about 85% of the Mayo Clinic's total) grew by 6% vs. the prior year. The Mayo Clinic list more than $10 billion in total assets.

Strategy

Already a giant in health care in the Midwest, the Mayo Clinic continues to grow. In mid-2012 it agreed to acquire Fairview Red Wing Health Services (FRWHS) in Minnesota. FRWHS, which will join the Mayo Clinic Health System, operates a medical center in Red Wing, clinics in Zumbrota and Ellsworth, a home care and hospice business, and an apartment complex for seniors. In 2011, the Mayo Clinic purchased the 25-bed Queen of Peace Hospital in New Prague, Minnesota.

Mayo Clinic strives to accommodate patients who travel to get to its facilities, and will schedule multiple appointments and tests tightly together to make the most of patient's time. Rather than paying physicians based upon the quantity of patients seen, the clinic's doctors are paid salaries as an incentive to quality care. These and other innovations have drawn attention to the clinic's patient-centered model of care. It has created a Center for the Science of Health Care Delivery and collaborates with other innovators including Cleveland Clinic and Intermountain Healthcare.

To reach remote areas, Mayo Clinic in Arizona pioneered a telemedicine program that places robots in rural hospitals, allowing local doctors and hospital staff to communicate with Mayo doctors in real time as they treat patients with such conditions as stroke or collapsed lungs.